Domestic liquidity (M3) or money supply grew 7.7 percent year-on-year to P18.8 trillion as of end-December 2024, the Bangko Sentral ng Pilipinas (BSP) said Wednesday.
The BSP said that on a month-on-month seasonally adjusted basis, M3 increased marginally by 0.2 percent.
Domestic claims expanded by 10.4 percent year-on-year in December, from 10.8 percent in November.
Claims on the private sector grew 12.2 percent in December from 11.7 percent in the previous month with the continued expansion in bank lending to non-financial private corporations and households.
Net claims on the central government expanded by 7.2 percent from 9.2 percent due to higher borrowings by the national government.
Net foreign assets (NFA) in peso terms rose 6.0 percent year-on-year in December, up from 9.8 percent seen in November.
The BSP’s NFA increased 6.8 percent, reflecting the growth in gross international reserves relative to a year ago. Meanwhile, the NFA of banks declined on account of higher bills and bonds payable.
“Looking ahead, the BSP will ensure that domestic liquidity and bank lending conditions remain consistent with its price and financial stability objectives,” the BSP said.